The Farm Storage Facility Loan Program provides low-interest financing so producers can build or upgrade permanent facilities to store commodities. Eligible commodities include grains, oilseeds, peanuts, pulse crops, hay, honey, renewable biomass commodities, fruits and vegetables. Eligible facility types include grain bins, hay barns and facilities for cold storage.
Since its inception in May 2000, more than 33,000 loans have been issued for on-farm storage, increasing storage capacity by 900 million bushels.
A series of improvements have been developed to better tailor FSFLs to finance on-farm storage and handling for small and mid-sized farms. The changes also for the first time allow FSFLs to cover the structure and equipment required to get fruits and vegetables washed, treated and packed along with the cold storage that had been previously covered exclusively.
Other new changes to FSFL will allow FSA State Committees to subordinate Commodity Credit Corporation’s lien position, and producers may use an irrevocable letter of credit and the storage structure to secure the FSFL.
FSFL security requirements have been eased for all types of loans between $50,000 and $100,000. Now FSFL loans up to $100,000 can be secured by a promissory note only.
Special provisions are authorized for fruit and vegetable (FAV) producers. FAV producers may annually request a waiver of the multi-peril crop insurance or the Non-Insured Crop Assistance Program requirement and provide verifiable information for calculating the cold storage capacity need. Also, handling equipment designed to maintain the quality of the FAV producer’s crop is authorized.
for the Federal Register document announcing changes.
Click here (PDF, 190 KB)
for the FSA Policy Notice announcing changes.
Under the Commodity Credit Corporation (CCC) Charter Act, USDA may make loans to producers to build or upgrade farm storage and handling facilities.
The Farm Service Agency (FSA) is an organization with a legacy of responding quickly to program legislation, being service-oriented, and focusing on producer needs.
Marketing assistance loans provide producers interim financing at harvest time to meet cash flow needs without having to sell their commodities when market prices are typically at harvest-time lows.
For a commodity to be eligible for a marketing assistance loan or a loan deficiency payment (LDP), the producer must have beneficial interest in the commodity in addition to other eligibility requirements.
- Trade Adjustment Assistance Program
- Milk Income Loss Contract Program
- Asparagus Economic Loss Program
The commodity loan rates below are available in PDF only.
These reports provide a host of information about loan activities, LDPs, loan forfeitures, and much more.